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Using network optimization: Consider a variant of the transportation problem for which (1) the sum of demands exceeds the sum of supplies, and (2) we

Using network optimization:

Consider a variant of the transportation problem for which (1) the sum of demands exceeds the sum of supplies, and (2) we incur a penalty Pi for every unit of unfulfilled demand at demand nodej. Formulate this problem as a standard transportation problem with total supply equal to total demand.

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